Fossil Fuels: Overseas Investment
(asked on 11th February 2021) - View Source
Question to the Department for International Trade:
To ask Her Majesty's Government what estimate they have made of the total carbon emissions associated with fossil fuel projects funded through (1) Official Development Assistance, and (2) UK Export Finance, in (a) 2018, (b) 2019, and (c) 2020.
UK Export Finance (UKEF) defines fossil fuels projects as those related to the extraction, production, transportation and refining of crude oil, natural gas or coal and fossil-fuel fired power stations.
Until 31 March 2020 UKEF’s collected projected annual operational CO2-equivalent (CO2e) Scope 1 and Scope 2* emissions of projects only where they fell under the scope of the OECD Council Recommendation on Common Approaches for Officially Supported Export Credits and Environmental and Social Due Diligence (OECD Common Approaches) or the Equator Principles and where they were expected to exceed 25 000 tonnes CO2e annually. The table below is compiled on that basis and uses the latest emissions data known to UKEF for the total carbon emissions associated with fossil fuel projects funded through UKEF in 2018, 2019 and 2020:
(*Scope 1 emissions are direct emissions from owned or controlled sources. Scope 2 emissions are indirect emissions from the generation of purchased energy.)
Projects currently in operations phase (operational carbon emissions)
Financial Year UKEF funding agreed (signed) | UKEF support effective (funding provided) | Estimated carbon emissions in tonnes of CO2e per annum |
2018 | Yes | 18,030,000 |
2020 | No | 26,804,725 |
Estimated emissions for projects supported but not yet in operation (still in construction phase, hence no actual operational carbon emissions to date)
Financial Year UKEF funding agreed (signed) | UKEF support effective (funding provided) | Estimated carbon emissions in tonnes of CO2e per annum during future operations |
2018 | Yes | 15,257,820 |
2019 | Yes | 8,178,670 |
2020 | No | 3,600,000 |
With regards to the period from 1 April 2020, emissions information has not yet been collated within UKEF, but UKEF will make climate-related financial disclosures in its
accounts, in line with the Taskforce on Climate-Related Financial Disclosures’ (TCFD’s) recommendations, as soon as practicable following the close of the 2020/21 financial year. For 2020-21 this disclosure will include the type of emissions data described above and in addition will include information on UKEF's governance, strategy, risk management, and metrics and targets regarding climate change financial risks.
We do not hold data for estimated carbon emissions associated with past fossil fuel projects funded through Official Development Assistance (ODA).